3 minute read
pepperstone standard vs razor? Which is better account?
from Pepperstone Account
by Jone Eva
Choosing between the Standard and Razor accounts at Pepperstone is one of the first decisions you’ll make as a trader. Both accounts give you access to the same deep liquidity, platforms (MT4, MT5, cTrader), and regulatory protections—but their cost structures and ideal use cases differ. In this detailed comparison, we’ll examine spreads, commissions, minimum deposits, execution, and trader profiles to help you decide which account suits your strategy.
Open your Pepperstone account and compare both account types
1. Cost Structure
Standard Account
Spread‑only pricing: All fees are embedded in the spread.
Typical EUR/USD spread: ~1.0 pip during liquid sessions.
No commission: Simple for beginners to understand.
Razor Account
Raw spreads: From 0.0 pips on major forex pairs.
Commission: USD 3.50 per side ($7 round‑turn) per standard lot on MT4/MT5; USD 6 round‑turn on cTrader.
Typical all‑in cost: ~0.6 pips on EUR/USD (spread + commission).
Which Wins?
Standard is more straightforward if you dislike separate commissions.
Razor delivers lower total cost for high‑frequency and large‑volume traders once you factor in commission.
2. Minimum Deposit
Standard Account: No minimum deposit—start with £0 (or equivalent).
Razor Account: Recommended minimum of USD 200 to ensure adequate margin for raw‑spread trading.
Which Wins?
Standard for absolute beginners or those testing the waters with minimal capital.
Razor once you’re ready to commit at least $200 for tighter pricing.
3. Execution and Slippage
Both accounts operate on an ECN/STP model with no dealing desk, but:
Razor clients often see marginally better fills due to direct raw‑spread routing.
Standard spreads can widen more in volatile conditions, though execution speed remains high (sub‑30 ms).
Which Wins?
Razor for scalpers and news traders who need the tightest spread and minimal slippage.
Standard for traders placing fewer, larger‑timeframe trades who prioritize simplicity.
4. Leverage and Margin
Both accounts offer identical leverage options (up to 1:500 in non‑ESMA regions, up to 1:30 in EU/UK). Margin requirements are the same—only your cost per trade differs.
5. Ideal Trader Profiles
Standard Account is best for:
Beginners learning spread betting without commission complexity
Swing traders holding positions for days or weeks
Part‑time traders who place a few trades per month
Razor Account is best for:
Scalpers and day traders executing many small‑profit trades
Algorithmic traders running EAs or high‑frequency strategies
Professionals seeking institutional‑grade pricing
Explore Pepperstone account options and open the one that fits your style
Conclusion
There’s no one‑size‑fits‑all answer. The Standard Account wins on simplicity and zero minimum deposit, making it perfect for newcomers and casual traders. The Razor Account wins on raw pricing and lower total cost, making it ideal for active, high‑volume, and algorithmic traders. Evaluate your trading frequency, capital, and tolerance for commission structures—and choose the account that aligns with your goals.
Open your Pepperstone account today and start trading on the account that’s right for you!
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